Satisfaction of Judgment

[bobbishobbis]

For many years my business was forced to fight a legal battle. To my dismay we lost and a judgment was rendered. I owned and operated a Sub-S Corporation located in Wyoming. Trying to satisfy the judgment we offered the only assest of value, our company inventory. The judgment was in the amount of approximately $21,000.00 and the inventory was valued at approximately $70,000.00 our cost. Several years have past since possession of these goods were taken and to date we have not heard or received anything as to the status of the judgment or an acknowledgment of inventory received.
In good faith we attempted to satisfy this judgement, releasing a substantial amount of company assets and costing us to close our doors. I am afraid that because there has been nothing documented in regard to receiving this inventory, the possibly that in the future they may attempt collections again. I would like to avoid any more problems and wondered if sending them 1099 might offer us some protection. This entire situation has been a costly legal nightmare that I paid for dearly in the loss of my company. I hope that a 1099 might provide us some useful defence if needed, as it is obvious in the inventory figures reported to the IRS. I asked my accountatnt abount sending a 1099 and she suggested I talk with an attorney.

[aaron]

The judgment was only against the S Corporation, or was it also against you as an individual? ("We" - you and somebody else?)

Is the S Corporation now out of business, and formally dissolved with the state?

This payment on the judgment occurred how long ago?

[bobbishobbis]

My Wyoming Sub S Corp lost a judgment levied against me in 2002. We tried to satisfy their $20,000.00 judgment with company inventory valued at approx $70,000.00 cost of goods. We have never received any acknowledgment or credit for this transfer. A lien was also put on property that I own personally. In 2006, my brother also won a judgment against me for $20,000.00. Recently, I received a Summons requesting an Assignment of Appraiser. Count II of his summons asked the court to clear the other lien placed on my building allowing him free title. The first judgment had put my company out of business. Interestingly enough, my brother was in the very same business as myself and we discovered during the transfer of inventory that he was the acting agent! Both judgments were fought and won by the same attorney except my brother is now using another attorney to seize my property. I have had two judgments levied against me totaling about $40,000.00. I gave up l over $70,000.00 in inventory not realizing this would be used to stock up my brothers business at no charge! I need to file a motion of some kind to stop the sale of my property or should I file a complaint. Can I make the lawyer that assisted him with the transfer of my inventory testify if he was the same lawyer that assisted him with the judgment he has against me now? Confusing and one big mess that has cost me so much and it isn't over yet! Any thoughts would be much appreciated. Thank you

[Mr. Knowitall]

What do you mean "we tried"? Did they agree to accept the inventory as 100% full and complete satisfaction of the judgment? If in fact the inventory was worth so much, why didn't you sell 30% of it and pay off the judgment while retaining the rest for your business?

I suggest that you consult a bankruptcy lawyer.